student at university of florida

Proximity Marketing

When constructing a marketing plan, it’s imperative for companies to examine all available channels to see what works best for their goals and objectives. One available option is proximity marketing through channels like Facebook, Google, Waze, and FourSquare. Proximity marketing allows companies to send advertisements directly to people who are in that area, making it more relevant to them. On Waze, when drivers get near a restaurant or other business, an advertisement will appear on screen. This is really beneficial for restaurants, and provides drivers relevant information about what is in their area.

One of the main benefits of this marketing technique for businesses is that you are better able to understand your customers. According to beaconstac, 71% of retailers were better able to “track and understand customer browsing and buying patterns.” Most consumers use their phones while shopping anyways, so it is easy to use proximity marketing to target them.

With the increase in wearable technology such as the Apple watches and Samsung Gear, proximity marketing has an even bigger advantage. If you can deliver push notifications to someone even when they aren’t looking at their phone, then you have a definite advantage over stores that are just advertising on social feeds. Something that is attached to your body, and you are likely to glance at periodically to check the time anyways, is more likely to grab your attention on the go than your phone which is easily put away and forgotten.

Personally, I use Waze whenever I travel, no matter how far the distance is. On average, I would estimate I use Waze around 5 times a week, and every single time I see at least two advertisements. I frequently travel to Tallahassee, and that is when the proximity advertisements affect me the most. Every time I forget to bring water or any type of drink with me, I always feel the need to stop halfway through – two hours is a long time to go without a drink. Conveniently, Waze advertises places near by like McDonalds or Dunkin Donuts, and frequently the advertisements tell you which exit those establishments are on. I tend to trust Waze more than roadside advertisements, and I always end up stopping somewhere that the app suggests.

For my client, I’m not sure proximity advertising is the best fit. If I had to choose though, I would probably opt to run a promotional content ad, since they have recently done extensive renovations to the rooms and upgraded multiple features of the hotel. I would choose before and after pictures, or even just pictures of the upgraded rooms and push them to people around Fort Lauderdale, as well as some other prominent cities in Florida. I would provide a promotional code for people who see the ad to use, so there is a way to track how many customers we receive specifically from those advertisements. We utilized a similar approach previously by targeting ads to women in Tampa, Jacksonville, Orlando, and Fort Lauderdale and the ad was very successful.